Telecom Argentina S.A announces consolidated results for the first half ("1H22") and second quarter of fiscal year 2022 ("2Q22") **.

BUENOS AIRES:

Telecom Argentina S.A. ('Telecom Argentina') - (NYSE: TEO; BYMA: TECO2), announced today a net income of P$31,879 million for the period ended June 30, 2022 (+P$34,621 million vs. 1H21). The net income attributable to the controlling company was P$31,260 million (+P$34,548 million vs. 1H21).

Comparative figures for the previous fiscal year have been restated so that the resulting information is presented in the current measurement unit as of June 30, 2022.

The following table shows the evolution of the consumer price index (National CPI - according to INDEC's official statistics) as of June 30, 2022 and as of December 31, 2021 and 2020, which were used to restate the figures in constant currency:

Price Index Variation

As of December 31, 2020

As of December 31, 2021

As of June 30, 2021

As of June 30, 2022

Annual

36.1 %

50.9 %

50.2 %

64.0 %

3 month cumulative (since Mar-22)

n/a

n/a

11.0 %

17.3 %

During the 1H22, Consolidated Revenues amounted to P$264,577 million, from which Service Revenues totaled P$247,527 million.

Consolidated Operating Revenues

Mobile Services

As of June 30, 2022, total mobile customers in Argentina and Paraguay amounted to 22.3 million. In 1H22, total mobile services revenues represented P$103,718 million (-P$5,944 million vs. 1H21).

Mobile Services in Argentina

As of June 30, 2022, total mobile subscribers amounted to more than 20.1 million (+0.8 million vs. 1H21). Postpaid clients represented 42% of our subscriber base.

In 1H22, mobile service revenues in Argentina amounted to P$94,957 million (-2.7% vs 1H21). Mobile internet revenues were 87% of mobile service revenues. The average monthly revenue per user ('ARPU' - restated in constant currency as of June 30, 2022) amounted to P$779.2 during 1H22 (-9.5% vs. 1H21). The effect generated by the inflation adjustment as of June 30, 2022 (included in the ARPU) amounted to P$95.6 and P$379.9, for 1H22 and 1H21, respectively. Mobile churn was 2.4% (vs. 1.5% in 1H21).

Commercial Initiatives

The Company continued to enhance its customers' mobile Internet experience through the deployment of the 4G and 4G+ network throughout the country, reaching more than 14.6 million customers with 4G devices. During 1H22, the traffic carried by 4G technologies represented 95% of total traffic.

Personal in Paraguay ('Nucleo')

As of June 30, 2022, Nucleo's subscriber base reached 2.3 million clients. Prepaid and postpaid customers represented 81% and 19%, respectively.

Nucleo's mobile service revenues during 1H22, amounted to P$8,761 million (-27.1% vs. 1H21), mainly due to a decrease in ARPU measured in constant pesos, which was partially offset by the appreciation of the Guarani against the Argentine peso.

Cable TV Services

Cable TV service revenues were P$48,849 million in 1H22 (-P$9,635 million vs. 1H21). Cable TV subscribers totaled approximately 3.5 million (-27 thousand vs. 1H21). The monthly Cable TV ARPU (restated in constant currency as of June 30, 2022) reached P$2,240.0 during 1H22 (vs P$2,365.1 in 1H21). The effect generated by the restatement in terms of the measuring unit as of June 30, 2022 included in ARPU amounts to P$281.7 and P$1,046.6, for the 1H22 and 1H21, respectively. The average monthly churn during...